Sony Financial Group Inc. (SFGYY)

Financial Services · PNK · US

USD4.74+9.47% today

Fundamentals

Market capUSD6.35B
P/E ratio18.9
Dividend yield2.58%
Profit margin2.3%
Return on equity8.5%
52-week rangeUSD4.05 to USD5.69

Valuation and ratings

DCF fair valueUSD2.89
Upside to fair value-39.0%
Moat score28/100
Overall rating23/100, Sell

Sony Financial Group Inc. trades at USD4.74, which is 39% above the USD2.89 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.

Our moat model scores it 28 out of 100, which is little in the way of a moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.

It changes hands at 18.9 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.

About Sony Financial Group Inc.

Sony Financial Group Inc., together with its subsidiaries, provides financial services in Japan. It offers death protection, medical, educational endowment, living benefit, automobile, medical, overseas travel, and fire insurance products, as well as reinsurance services. The company also provides foreign currency deposits, mortgage loans, investment trust, and venture capital and credit card settlement services, as well as plans, develops, and operates nursing care homes. Sony Financial Group Inc. was formerly known as Sony Financial Holdings Inc. and changed its name to Sony Financial Group Inc. in October 2021. The company was founded in 1979 and is headquartered in Tokyo, Japan.

Industry: Insurance - LifeEmployees: 14,042HQ: Japan

SFGYY passes 1 of our 30 screens today

Each screen prints the exact criteria it used, and the circumstances in which it is wrong.

Common questions

Is Sony Financial Group Inc. (SFGYY) undervalued?

Against our discounted cash flow estimate of USD2.89, SFGYY at USD4.74 is 39% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.

What is SFGYY's P/E ratio?

SFGYY trades at 18.9 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.

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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.